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Big Money Loves Arch Capital Group

By:
Lucas Downey
Published: May 10, 2024, 15:43 GMT+00:00

Arch Capital Group Ltd. (ACGL) shares are up 34% in 2024. Looking under the surface, it’s clear to see why this financials stock has drawn serious investor interest.

Arch logo, FX Empire

In this article:

Arch Capital Group Shares Under Heavy Demand

Institutional volumes reveal plenty. Over the past year, our proprietary signals indicate ACGL has been under heavy accumulation. We believe this to be strong institutional support.

Each green bar indicates unusually large volumes in ACGL shares, pushing the stock higher:

Source: www.mapsignals.com

Plenty of financials names are under accumulation right now. But there’s a powerful fundamental backdrop going on with Arch Capital Group.

Arch Capital Group Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, ACGL has had strong sales growth and phenomenal earnings growth:

  • 3-year sales growth rate (+17.9%)
  • 3-year EPS growth rate (+79.1%)

Source: FactSet

EPS is estimated to ramp higher this year by +3.7%.

Now it makes sense why the stock has been powering to new heights. Arch Capital Group is gaining because of its strong fundamental picture.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

Arch Capital Group has been a top-rated stock at MAPsignals for a while. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 list many times. The blue bars below show when ACGL was a top pick over the last two years…flying higher along the way.

Source: www.mapsignals.com

Tracking unusual volumes reveals the power of money flows.

This is a trait that most superstar stocks exhibit…the outliers. Money flows often reveal tomorrow’s leaders today.

Arch Capital Group Price Prediction

The Arch Capital Group rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in ACGL at the time of publication.

If you are a Registered Investment Advisor (RIA) or a serious investor interested in taking your investing to the next level, learn more about the MAPsignals process here.

About the Author

Lucas Downeycontributor

Lucas is a well-versed equity investor and educator. He currently is co-founder of research and analytics firm, MAPsignals.com, which focuses on finding outlier stocks by following the Big Money.

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